When in doubt, Incentivize!

These are the latest ideas and bills in congress, which may or may not actually happen.

First up are new tax credits for homeowners investing in energy efficiency upgrades. The Cut Energy Bills at Home Act.

It's based on annual predicted energy cost savings from heating, cooling, hot water and “permanent lighting” in a primary residence. For a minimum credit of $2,000, homes would need to reduce energy costs by 20 percent. Incremental credits are available.

The Home Owner Managing Energy Savings Act is in the works. It may provide instant rebates to homeowners investing in energy efficiency upgrades. Rebates from $2,000 for 20 percent to 24 percent reductions in energy to $8,000 for 50 percent reductions. Whether high-tech systems such as energy management and lighting control could be included is not yet nailed down.

The expired energy efficiency tax credits for furnaces, central air conditioners, windows, doors, roofs, and water heaters, may also come back. They have been recognized by many in congress as beneficial.

These incentives could possibly boost the home energy efficiency sector, but it's all politics as usual, from here on out.

You need to be a member of Home Energy Pros to add comments!

Subsidizing peak power reductions makes sense from an overall grid prospective. It's peak power demand in summer months that cost utilities a small fortune to keep up with. Power during off peak periods is actually quite cheap, but rates are increased to cover peak demand costs.